The company has revenue of (approx) 100 cr and operating profit of approx. 5 cr. Their net profit was boosted by tax incentive (16 cr), some of them are about to expire in FY18 and most of them will expire by Fy20. I think their effective tax was also lower in F17, due to accumulated losses. However, this should revert to normal in a year or two.
Their private portfolio is 14 cr last year, which has grown from 6.5cr (Fy 15) to 14 cr in FY 17. In next two/three year, they want the private label to contribute more than 50%, which is great. As per the latest annual report, they provide private label against cash and managed to grow it at a handsome rate, which shows product strength.
It seems Nikhil Vohara is dressing up a company in a way investors, in general, want to hear. As a result, the stock is on fire and has gained more than 6/7 times in last two years.
While the company has good future, the stock is running ahead of time in my view. It is 3 times sales, and 50+ times operating profit (if I take out the tax benefits), after all, it is still a contract manufactures and will likely to be so in near to medium term.